Cash generation is insufficient to cover shareholder returns, as ECC paid $413.5M in dividends over the last ten quarters while generating only $230.5M in operating cash flow, forcing a reliance on net investment sales of over $1.3 billion cumulatively.
Eagle Point Credit Company Inc. (ECC) cash flow statement — 12-year operating, investing & financing cash flows
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 |
|---|
| Cash from Operations | 77.86M | 107.89M | 103.55M | 85.21M | -74.97M | 42.64M | 1.22M | 26.94M | -45.8M | -29.02M | 34.84M | -76.57M | -91.93M |
| Operating CF Growth % | -111.02% | 4.19% | 21.53% | 213.65% | -275.81% | 3391.98% | -95.47% | 158.83% | -57.81% | -183.32% | 145.5% | 16.71% | - |
| Net Income | -166.61M | -115M | 80.31M | 116.89M | -103.64M | 131.71M | 60.89M | -8.69M | -54.85M | 31.13M | 90.58M | -40.96M | 8.34M |
| Depreciation & Amortization | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | 245.99M | 227.95M | 25.16M | -31.16M | 38.49M | -87.09M | -56.57M | 30.7M | 24.59M | -68.39M | -60.58M | -44.57M | -94.41M |
| Working Capital Changes | -1.53M | -5.06M | -1.92M | -519.64K | -9.83M | -1.98M | -3.09M | 4.94M | -15.54M | 8.24M | 2.76M | 8.96M | -5.87M |
| Cash from Investing | 126.61M | -129.31M | -532.55M | -166.78M | -132.01M | -157.48M | 22.72K | 114.65K | 0 | -71.16M | -117.21M | 0 | 0 |
| Purchase of Investments | -576.19M | -705.8M | -929.29M | -315.75M | -342.5M | -485.03M | -225.13M | -173.67M | -332.38M | -257.85M | -281.65M | 0 | 0 |
| Sale/Maturity of Investments | 702.79M | 576.49M | 401.14M | 148.98M | 210.49M | 327.55M | 193.81M | 161.05M | 266.74M | 186.69M | 164.44M | 0 | 0 |
| Net Investment Activity | 126.61M | -129.31M | -528.15M | -166.78M | -132.01M | -157.48M | -31.33M | -12.63M | -65.64M | -71.16M | -117.21M | 0 | 0 |
| Acquisitions | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Investing | 6.46K | 0 | -4.4M | 0 | 0 | 0 | 31.35M | 12.74M | 0 | 0 | 0 | 0 | 0 |
| Cash from Financing | -267.68M | 26.6M | 424.38M | 71.33M | 117.87M | 124.06M | -29.46M | 4.29M | 33.27M | 16.82M | 86.69M | 34.78M | 201.19M |
| Dividends Paid | -183.72M | -199.49M | -163.85M | -148.12M | -103.43M | -39.21M | -40.28M | -61.51M | -52.35M | -57.29M | -34.86M | -32.46M | 0 |
| Share Repurchases | -62.58M | -30.09K | 0 | 0 | 0 | -278.63K | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Stock Issued | 129.21M | 132.64M | 331.82M | 219.45M | 205.89M | 75.05M | 36.56M | 88.53M | 76.52M | 43.18M | 90.31M | 0 | 0 |
| Net Stock Activity | 66.64M | 132.61M | 331.82M | 219.45M | 205.89M | 74.77M | 36.56M | 88.53M | 76.52M | 43.18M | 90.31M | 0 | 0 |
| Debt Issuance (Net) | 0 | -1000K | 1000K | 0 | 1000K | 1000K | -1000K | 0 | 1000K | 1000K | 1000K | 1000K | 0 |
| Other Financing | -50.58M | 30.09K | -4.57M | 0 | 0 | -26.4M | -13.14K | 65.81M | 78.34M | -1.38M | 86.55M | 42.24M | 201.19M |
| Net Change in Cash | -20.35M | 5.18M | -4.22M | -10.39M | 42.92M | 9.16M | -28.11M | 31.35M | -12.53M | -12.2M | 4.31M | -41.79M | 109.26M |
| Exchange Rate Effect | 6.07M | 0 | 404.59K | -150.28K | 16.8K | -72.62K | 111.57K | 178 | 639 | 0 | 0 | 0 | 0 |
| Cash at Beginning | 11.41M | 42.22M | 46.45M | 56.83M | 13.92M | 4.76M | 32.87M | 1.52M | 14.05M | 26.25M | 21.94M | 63.73M | 0 |
| Cash at End | 59.54M | 47.41M | 42.22M | 46.45M | 56.83M | 13.92M | 4.76M | 32.87M | 1.52M | 14.05M | 26.25M | 21.94M | 109.26M |
| Interest Paid | 6.91M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Income Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Free Cash Flow | 77.86M | -21.42M | 103.55M | 85.21M | -74.97M | 42.64M | 1.22M | 26.94M | -45.8M | -29.02M | 34.84M | -76.57M | -91.93M |
| FCF Growth % | -29.06% | -120.69% | 21.53% | 213.65% | -275.81% | 3391.98% | -95.47% | 158.83% | -57.81% | -183.32% | 145.5% | 16.71% | - |
Quick answers to the most common questions about buying ECC stock.
Eagle Point Credit Company Inc. (ECC) generated $107.9M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Eagle Point Credit Company Inc. (ECC) reported negative free cash flow of $21.4M in 2025, indicating capital requirements exceeded cash from operations.
Eagle Point Credit Company Inc. (ECC) spent $0.0M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, Eagle Point Credit Company Inc. (ECC) returned $199.5M to shareholders via cash dividends and spent $0.0M on share repurchases. This shows the company's commitment to returning capital to its equity investors.
Key Metrics
Top Statement Risk
Unrealized losses masking cash generation
Metrics are mathematically derived from official filings.
Earnings Volatility Undermines Organic Capital
ECC's operating cash flow has consistently failed to cover net income, with an OCF/NI ratio averaging just 0.18 over the last ten quarters, suggesting the company's reported earnings are not translating into tangible cash generation for capital building.
The persistent gap between net income and operating cash flow, particularly the negative OCF/NI ratios in loss quarters, indicates that ECC's earnings are heavily driven by non-cash mark-to-market adjustments on its CLO portfolio. This disconnect means the company cannot rely on retained earnings to organically grow its regulatory capital base, forcing it to depend on external financing or asset sales to maintain its balance sheet.
Net Investment Selling Funds Operations
Over the last ten quarters, ECC has been a consistent net seller of investment securities, with cumulative sales of $1.34 billion exceeding purchases of $1.63 billion, indicating a portfolio runoff strategy to generate liquidity.
The pattern of net investment sales, particularly the $112.0M net sale in 2026Q2, appears to be a primary source of cash to fund dividend payments and cover operating shortfalls. This suggests the company is actively managing its portfolio duration and liquidity, but the reliance on asset sales for cash flow is not a sustainable long-term strategy for a credit-focused investment company.
Dividend Payouts Exceed Cash Generation
ECC paid $413.5M in dividends over the last ten quarters while generating only $230.5M in operating cash flow, indicating the company has been funding its dividend through the liquidation of investment assets.
The dividend payout has consistently exceeded operating cash flow, with the shortfall covered by net investment sales. This pattern suggests the dividend may be partially a return of capital rather than a distribution of earnings, which warrants scrutiny regarding its long-term sustainability, especially as the company's net income has turned negative in recent quarters.
Provisions Signal Episodic Credit Stress
Loan loss provisions have been volatile, swinging from zero in multiple quarters to $5.5M in 2025Q1 and $4.6M in 2025Q4, suggesting episodic credit deterioration within the underlying CLO equity and debt tranches.
The erratic nature of provision expense, which does not follow a smooth trend, indicates that credit losses are being recognized in a lumpy fashion as specific CLO positions experience stress. This volatility in provisions adds another layer of unpredictability to ECC's earnings and cash flow, making it difficult to forecast future capital requirements for loss absorption.
Cash Flow Obscures True Portfolio Health
The cash flow statement does not capture the full economic picture, as ECC's operating cash flow is distorted by the non-cash nature of unrealized gains/losses on its CLO portfolio, which drove net income to swing by over $258M between 2025Q2 and 2025Q4.
Investors should focus on the balance sheet's unrealized loss position and the income statement's non-interest income volatility rather than the cash flow statement. The cash flows from operations and investing are largely mechanical results of portfolio management decisions (selling securities to raise cash) and do not reflect the underlying credit performance or economic value generation of the CLO investments.